Wednesday, March 7, 2012

Top 5 Tips for Choosing an Accountant for Your Business

You are used to doing everything by yourself at the office, but your business is growing so you need professionals to help you run your company and achieve further growth. An accountant is the first professional you should consider hiring. Choosing the right professional can be daunting, so you may want to use some practical guidance and advice on how to make the right choice.

Hire a certified accountant for your business. Such a professional has an undergraduate degree and has passed the relevant state exam for obtaining his/her certification. Basically, certification means that the expertise of the professional is guaranteed by the state. Since certified professionals are required to take continuing education courses and renew their certification, you can be certain that the quality of their service is good.

Choose an accountant that you have a genuine professional relationship with. Many business owners have to choose between hiring a large firm or a small firm to do their bookkeeping. If you have more confidence in a large firm, then you should definitely go for their services. Still, you should consider the advantages of hiring a small firm. Their services may be more affordable. They will most likely give you greater personal attention, so you will be able to develop a productive long-term relationship with them.

Select an accountant that has business expertise and expertise in your industry, in particular. Provided that the professional knows and understands the specifics of your company and industry, he/she will be more likely to do a good job, all other things being equal. If the professional has a diverse experience, this will be beneficial as well. Just make sure he/she knows your industry well.

Hire an accountant that offers a comprehensive range of services. There is more to accounting than bookkeeping. A professional can prepare the company's financial statements, file for tax returns and present relevant financial documentation to banks and auditing institutions, if the need arises. Still, this is not all. You can hire a professional who can measure your business performance so that you can analyze it. He/she can also help you with business planning on all levels. In fact, you may want to hire a professional who will be solely responsible for devising your business plans. He/she can also work to support the management team.